"In 2009, just 50.5 per cent of Americans paid any income tax to the federal government - the lowest proportion in at least half a century." We need EVERYONE to pay their fair share says our President.
If we continue on our current deficit spending trajectory, we will have only three-quarters of the GDP in 25 years we otherwise could have. Do you think most of what government spends money on will improve people's lives enough to sacrifice a quarter of their future earnings in a generation?
Canada substantially reduced the size of its government relative to GDP starting in the 1990s, which led to substantial growth. The U.S. should do the same, probably to around 30% of GDP (from our current 40%).
Where is all the money the Fed has been dumping into the economy? In bank reserves. Maybe someday we'll reform our economic and financial policy enough that banks will actually lend out the absurd amount of reserves they have sitting around.